(Reuters) -Coal India, which produces over 75% of the country’s coal, reported a drop in fourth-quarter revenue on Wednesday, hurt by subdued power demand.
The company, which mainly produces thermal coal for power generation and industries, said consolidated revenue from operations fell 1% to 378.25 billion rupees ($4.47 billion) in the quarter ended March 31.
India’s coal demand remained soft from January through March as a slowdown in manufacturing activity led to muted power demand.
The company’s coal production declined 2% in the quarter, while offtake, or the volume of coal dispatched from its mines, was nearly flat.
However, its profit rose 12% to 96.04 billion rupees due to a 75% jump in income from interest on an income tax refund and as expenses were flat.
The company’s average realisation from e-auction sales rose about 52 rupees per ton to 2,614.94 rupees, which helped lift overall average price realisation of coal supplied by four rupees.
Coal India generates about 10% of its sales through e-auctions at rates close to market prices, while the rest is sold to domestic buyers under long-term contracts.
The company also reported a final dividend of 5.15 rupees per share. ($1 = 84.6950 Indian rupees)
(Reporting by Anuran Sadhu in Bengaluru; Editing by Savio D’Souza)
